Farmers mixed on Japan trade deal

DAIRY farmers say Australia's free trade agreement with Japan has done almost nothing for them, but fruit growers are spruiking a big win.

Angus Livingston

AAPApril 8, 20142:22pm

FRUIT growers say a Japanese import tariff cut is a big win for the industry.

But dairy producers say the new free trade agreement does nothing for them and are concerned about a potentially bleak upcoming deal with China.

Fruit Growers Victoria deputy chairman Gary Godwill says the agreement, which eliminates tariffs on a range of canned fruit and vegetables, puts them on a level playing field with other players in the market.

"Access to the Japanese market is a wonderful thing," he told AAP on Tuesday.

Victorian fruit growers have been under pressure after canning company SPC Ardmona tried - and failed - get a federal government bailout earlier in the year.

Mr Godwill said real access to key Asian markets was important.

But United Dairy Farmers Victoria president Tyran Jones said the agreement had mainly ignored dairy farmers.

"Dairy farmers currently pay $116 million a year in import tariffs on $511 million of processed dairy products going into Japan," Mr Jones said.

He said members of Australia's $13 billion dairy industry were now worried about future free trade deals.